NRG Energy (NRG) Q4 Loss Narrower Than Expected, '21 Sales Up

NRG Energy, Inc. NRG incurred fourth-quarter 2021 loss of 97 cents per share, narrower than the Zacks Consensus Estimate loss of $1.37. In the year-ago quarter, NRG reported an adjusted loss of 53 cents.

Revenues

NRG Energy’s 2021 revenues came in at $26.9 billion, up a whopping 196.8% year over year and surpassed the Zacks Consensus Estimate of $22.7 billion by 18.5%.

NRG Energy, Inc. Price, Consensus and EPS Surprise

NRG Energy, Inc. Price, Consensus and EPS Surprise

NRG Energy, Inc. price-consensus-eps-surprise-chart | NRG Energy, Inc. Quote

Highlights of the Release

Fourth-quarter adjusted EBITDA was $433 million, up 3.1% from $330 million in the year-ago quarter.

The company’s total operating costs and expenses in 2021 amounted to $23.89 billion, up 199% from $8 billion in 2020.

Interest expenses of $106 million decreased 2.7% from the prior-year quarter’s $109 million.

Financial Highlights

As of Dec 31, 2021, NRG Energy had cash and cash equivalents worth $250 million compared with $3,905 million on Dec 31, 2020.

As of Dec 31, 2021, NRG’s long-term debt and finance leases amounted to $7,966 million compared with $8,691 million on Dec 31, 2020.

Cash provided by operating activities in 2021 was $493 million compared with $1,837 million in 2020.

Capital expenditures in 2021 were $269 million compared with $230 million in 2020.

Guidance

NRG Energy expects 2022 adjusted EBITDA in the range of $1,950-$2,250. NRG now expects 2021 free cash flow before growth investments in the band of $1,140-$1,440 million.

NRG Energy envisions 2022 cash flow from operations in the band of $1,380-$1,680 million. It expects 2022 capital expenditure in the range of $225-$250 million.

Zacks Rank

NRG Energy has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Peer Releases

NextEra Energy NEE delivered fourth-quarter 2021 operating earnings per share of 41 cents, which surpassed the Zacks Consensus Estimate of 40 cents by 2.5%.

NextEra Energy’s long-term (three to five) earnings growth is projected at 8.8%. The Zacks Consensus Estimate for NEE’s 2022 earnings indicates year-over-year growth of 8.6%.

Dominion Energy Inc. D reported fourth-quarter 2021 operating earnings of 90 cents per share, on par with the Zacks Consensus Estimate.

Dominion’s long-term earnings growth is projected at 6.6%. The Zacks Consensus Estimate for D’s 2022 indicates a year-over-year decline of 6.7%.

WEC Energy Group WEC reported fourth-quarter 2021 operating earnings per share of 71 cents, which surpassed the Zacks Consensus Estimate of 68 cents by 4.4%.

WEC Energy’s long-term earnings growth is projected at 6%. The Zacks Consensus Estimate for WEC’s 2022 earnings indicates year-over-year growth of 4.6%.

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